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14 Feb 2014
USD/CAD supported at 1.0940
FXStreet (Edinburgh) - The USD/CAD is hovering over 2-day lows in the area of 1.0940, intensifying the weekly correction from peaks near 1.1100.
USD/CAD focus on US data
The current decline is framed within the broader correction lower from multi-year highs beyond 1.1200 the figure in late January, accompanied by a increasing selling pressure around the greenback. Next on tap in the Canadian docket will be Manufacturing Shipments, expected to have expanded 0.1% MoM in December, lower from November’s 1.0% gain. In the US, Export/Import Prices are due followed by the Reuters/Michigan index. “We think USDCAD may reach the 1.09 area (1.0907 is the 50% retracement of the January rally) in the next few days but that would leave funds looking in a very attractive position for resetting USD longs ahead of next week’s retail sales and CPI data”, observed Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to watch
As of writing the pair is losing 0.17% at 1.0958 with the immediate support at 1.0942 (low Jan.21) followed by 1.0930 (low Jan.20) and then 1.0926 (low Jan.17). On the upside, a surpass of 1.0983 (high Feb.14) would aim for 1.1026 (high Feb.13) and finally 1.1060 (21-d MA).
USD/CAD focus on US data
The current decline is framed within the broader correction lower from multi-year highs beyond 1.1200 the figure in late January, accompanied by a increasing selling pressure around the greenback. Next on tap in the Canadian docket will be Manufacturing Shipments, expected to have expanded 0.1% MoM in December, lower from November’s 1.0% gain. In the US, Export/Import Prices are due followed by the Reuters/Michigan index. “We think USDCAD may reach the 1.09 area (1.0907 is the 50% retracement of the January rally) in the next few days but that would leave funds looking in a very attractive position for resetting USD longs ahead of next week’s retail sales and CPI data”, observed Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to watch
As of writing the pair is losing 0.17% at 1.0958 with the immediate support at 1.0942 (low Jan.21) followed by 1.0930 (low Jan.20) and then 1.0926 (low Jan.17). On the upside, a surpass of 1.0983 (high Feb.14) would aim for 1.1026 (high Feb.13) and finally 1.1060 (21-d MA).